Philippine’s BDO Unibank sells USD 150m of green bonds to IFC

Philippine lender BDO Unibank Inc has raised USD 150 million (EUR 127.3m) from selling green bonds to the International Finance Corp (IFC), the latter said on Friday.

The Philippine bank will use the funds to expand its financing for private sector investments in climate change-related projects, among which will be renewable energy and energy efficiency schemes, as well as projects for green buildings.

The placement is the first green bond issuance for BDO and the first one launched by a commercial bank in the Philippines. IFC, part of the World Bank, noted that the deal also represents its first green bond investment in a financial institution in East Asia and the Pacific.

The long-term green finance is seen to help the Philippines offset 93,000 tonnes of carbon dioxide (CO2) emissions per year by 2022, thus supporting its goal for a 70% cut in CO2 emissions by 2030.

According to the IFC, BDO is currently the market leader in climate financing in the Philippines with a climate-smart portfolio exceeding USD 500 million.

(USD 1.0 = EUR 0.848)

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